8 Of Frack. Baf 4.

40.

1.6.394

the

Desires the 6.0. consider repeating to you,

suggestion that orders for industrial plans should, as far as possible, be placed in this country.

F. 4541/118/10

6·6-39

970.

Ref. 2

Concurs.

Zo.

10

def. 9.

7.4541/18/10

010.

6·6·89

Submit's further obsons.

No. (10) gives a full exposition of the FO news

on this matter.

In the first place there is not

nothing

to prevent

the private commercial export of explosives from

HAL. to China on purely legal grounds,

from the

arms

since (a)

legal point of view the export of ordinary

& munitions is on a di

that of ussels of war

different footing from

aircraft, 9

4(6)

& assembled

Whilst a neutral Govt.

may not itself export

amus & munitions to a belligerent power, it is

not bound to fortid

acting

in a

such export by it nationals

pinly private commerial capacity.

As far as political considerations are concerned

the FO wld. not

а

normally agree to the

prohibiting

of the export of ordinay munitions to belligerents

ид

since this tends to compromise the attitude of H. M.6.

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